Buy signal on Getinge AB (GETI.B-SE)
Getinge is a SEK 50 Bn market cap and is active in the healthcare sector. It provides products and services for intensive care units, sterilization centers, elderly care and companies and institutions active in the life sciences area. Its operations are divided into three business areas:
1/ The Medical Systems business area offers equipment for surgical disciplines, cardiology and intensive care;
2/ the Extended Care business area offers products and services geared toward the hospital and elderly care markets, including solutions for preventing the risk of pressure ulcers and deep vein thrombosis;
3/ the Infection Control business area features systems for preventing the occurrence and spread of infection. Its products comprise disinfectors, sterilizers, including low temperature sterilization solutions, information technology (IT) solutions, as well as advice, training and technical support.
Getinge is expected to post a SEK 30 Bn revenue in 2020 coupled with a 10.6% net profit margin, considerably higher than last year (4.6%) due to the Covid-19 outbreak that led to a surge in need for critical care systems including ventilators.
Short term catalyst: New wave of outbreak in Europe .
This signal looks consistent with the Bullish momentum in Healthcare Equipment sector.